Christmas stars align for retailers as banks pass on rate cut

Peak industry body the Australian Retailers Association (ARA) today praised the big four banks for passing on Tuesday’s RBA interest rate cut to both consumers and business customers, which will hopefully translate to some timely relief for consumers as they embark on the busiest shopping period of the year.

ARA Executive Director Russell Zimmerman said it was an anxious wait for retailers hoping for a festive season boost, but banks have shown Christmas spirit and come through with the goods.
“It seems the stars are aligning and the banks have come to the rescue of the retail sector just in time for the Christmas shopping rush, meaning more customers through the doors and more hours for those employed in the retail sector.

“When we surveyed retailers, 65 percent* agreed that a December interest rate cut would be a boost for sales both before and after Christmas.

“Given the perfect timing stores will hopefully be seeing more foot traffic and processing more sales.

“The rate cut and the subsequent passing on by the banks is an acknowledgement that consumers need relief from their mortgages, which is just one financial stress consumers have been facing this year,” Zimmerman said.

For over 100 years, the Australian Retailers Association (ARA) has been the peak industry body in Australia’s $240 billion retail sector which employs over 1.2 million people. As an incorporated employer body under the Fair Work (Registered Organisations) Act 2009 and with a range of member services including policy development, advocacy and education, the ARA promotes and protects over 5000 independent and national retailers throughout Australia. Visit www.retail.org.au or call 1300 368 041.

-ends-
For interview opportunities with ARA Executive Director Russell Zimmerman
contact: Andie McMaster, Media & Communication Officer T: 0408 613 178 E: media@retail.org.au
*ARA Retailer Christmas Expectations Survey (4 – 22 November 2011)

Options:

View Archives